More cattle are found to have mad cow disease. As a result, consumer confidence in the safety of beef is shaken. What would an economist predict will happen in the beef market?
A) As consumer preferences move away from beef, there is an upward movement along the beef demand curve.
B) The demand curve will shift to the left.
C) The demand curve does not shift but consumers move to a point lower down the curve.
D) absolutely no change in either the quantity demand or the demand for beef
B
You might also like to view...
Which of the following is likely to lead to a right shift in the supply curve for labor in an industry?
A) The introduction of labor-saving technology B) A decrease in the opportunity cost of leisure C) An increase in the number of immigrants from foreign countries D) The introduction of labor-complementary technology
Determine whether each of the following is a positive or normative statement. (a) The Fed should lower interest rates to increase economic growth, because we're in a recession. (b) Higher government budget deficits cause higher interest rates
(c) The trade deficit should decline because of the fall in the value of the dollar. (d) Because of our high inflation rate, we must reduce the rate of money growth. (e) A generous unemployment insurance system is a primary cause of high unemployment in Europe. (f) Increased average labor productivity in a country should lead to faster growth. (g) Government budget deficits are too high in the United States and should be reduced.